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TAX REFORM<br />
What Changes Will Be on the Next President's Agenda?<br />
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PLUS<br />
• Interview with the IIA President<br />
• IFRS Liability Risks<br />
• Ethical Lessons for Accountants<br />
Protecting You. ProtectingYour Family.<br />
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Have you helped safeguard the future you’ve planned for yourself and your loved ones<br />
should an unforeseen event affect your lives? Take the first steps toward protecting<br />
your future financial needs with the multiple plan options and affordable group rates<br />
offered through th<a title="The CPA Journal - November 2008 page 1" href="http://viewer.zmags.com/publication/9c45c03d?page=1">TAX REFORMWhat Changes Will Be on the Next Presi</a> TAX REFORMWhat Changes Will Be on the Next Presi<a title="The CPA Journal - November 2008 page 2" href="http://viewer.zmags.com/publication/9c45c03d?page=2">Protecting You. ProtectingYour Family.Have you</a> Protecting You. ProtectingYour Family.Have you<a title="The CPA Journal - November 2008 page 3" href="http://viewer.zmags.com/publication/9c45c03d?page=3"></a> <a title="The CPA Journal - November 2008 page 4" href="http://viewer.zmags.com/publication/9c45c03d?page=4"></a> <a title="The CPA Journal - November 2008 page 5" href="http://viewer.zmags.com/publication/9c45c03d?page=5">C ONTENTSnovember 2008 </a> C ONTENTSnovember 2008 <a title="The CPA Journal - November 2008 page 6" href="http://viewer.zmags.com/publication/9c45c03d?page=6">vol. LXXVIII/no. 116PERS</a> vol. LXXVIII/no. 116PERS<a title="The CPA Journal - November 2008 page 7" href="http://viewer.zmags.com/publication/9c45c03d?page=7"> PublisherLOUIS GRUMETAssociate Publi</a> PublisherLOUIS GRUMETAssociate Publi<a title="The CPA Journal - November 2008 page 8" href="http://viewer.zmags.com/publication/9c45c03d?page=8">The Pace MS in Taxation. On your schedule.</a> The Pace MS in Taxation. On your schedule.<a title="The CPA Journal - November 2008 page 9" href="http://viewer.zmags.com/publication/9c45c03d?page=9">P ERSPECTIVESemerging issuesThe Proposed</a> P ERSPECTIVESemerging issuesThe Proposed<a title="The CPA Journal - November 2008 page 10" href="http://viewer.zmags.com/publication/9c45c03d?page=10">publisher's columnUnderfunding Public Prot</a> publisher's columnUnderfunding Public Prot<a title="The CPA Journal - November 2008 page 11" href="http://viewer.zmags.com/publication/9c45c03d?page=11">(Continued from page 6)whether the information w</a> (Continued from page 6)whether the information w<a title="The CPA Journal - November 2008 page 12" href="http://viewer.zmags.com/publication/9c45c03d?page=12">information reliable (along with verifiabili-ty </a> information reliable (along with verifiabili-ty <a title="The CPA Journal - November 2008 page 13" href="http://viewer.zmags.com/publication/9c45c03d?page=13">Why Can't Pat Audit?By Marshall K. PitmanIna</a> Why Can't Pat Audit?By Marshall K. PitmanIna<a title="The CPA Journal - November 2008 page 14" href="http://viewer.zmags.com/publication/9c45c03d?page=14">quizzes at the textbook authors' website,and go </a> quizzes at the textbook authors' website,and go <a title="The CPA Journal - November 2008 page 15" href="http://viewer.zmags.com/publication/9c45c03d?page=15">Healthcare Fraud: Auditingand Detection GuideB</a> Healthcare Fraud: Auditingand Detection GuideB<a title="The CPA Journal - November 2008 page 16" href="http://viewer.zmags.com/publication/9c45c03d?page=16">inbox: letters to the editorIdeas for So</a> inbox: letters to the editorIdeas for So<a title="The CPA Journal - November 2008 page 17" href="http://viewer.zmags.com/publication/9c45c03d?page=17">FocusIn</a> FocusIn<a title="The CPA Journal - November 2008 page 18" href="http://viewer.zmags.com/publication/9c45c03d?page=18">A Conversation with IIA PresidentDavid A. Richa</a> A Conversation with IIA PresidentDavid A. Richa<a title="The CPA Journal - November 2008 page 19" href="http://viewer.zmags.com/publication/9c45c03d?page=19">Expanding the IIA Donald E. Tidrick for The CP</a> Expanding the IIA Donald E. Tidrick for The CP<a title="The CPA Journal - November 2008 page 20" href="http://viewer.zmags.com/publication/9c45c03d?page=20">My banker asked if I’d like to come to thebank l</a> My banker asked if I’d like to come to thebank l<a title="The CPA Journal - November 2008 page 21" href="http://viewer.zmags.com/publication/9c45c03d?page=21">Leadership Responsibilities CPAJ: What are you</a> Leadership Responsibilities CPAJ: What are you<a title="The CPA Journal - November 2008 page 22" href="http://viewer.zmags.com/publication/9c45c03d?page=22">We are working to determine how wecan most effec</a> We are working to determine how wecan most effec<a title="The CPA Journal - November 2008 page 23" href="http://viewer.zmags.com/publication/9c45c03d?page=23">nal control models around the world.COSO's inter</a> nal control models around the world.COSO's inter<a title="The CPA Journal - November 2008 page 24" href="http://viewer.zmags.com/publication/9c45c03d?page=24">over my 24 years as a CAE was that thegroup of p</a> over my 24 years as a CAE was that thegroup of p<a title="The CPA Journal - November 2008 page 25" href="http://viewer.zmags.com/publication/9c45c03d?page=25">FocusIn</a> FocusIn<a title="The CPA Journal - November 2008 page 26" href="http://viewer.zmags.com/publication/9c45c03d?page=26">Will the Next PresidentReform the Tax Code?A </a> Will the Next PresidentReform the Tax Code?A <a title="The CPA Journal - November 2008 page 27" href="http://viewer.zmags.com/publication/9c45c03d?page=27">trolled Senate). In addition to this honey-moon </a> trolled Senate). In addition to this honey-moon <a title="The CPA Journal - November 2008 page 28" href="http://viewer.zmags.com/publication/9c45c03d?page=28">president, who one year later needed to findaddi</a> president, who one year later needed to findaddi<a title="The CPA Journal - November 2008 page 29" href="http://viewer.zmags.com/publication/9c45c03d?page=29">Bush attempted, but failed to make his taxcuts p</a> Bush attempted, but failed to make his taxcuts p<a title="The CPA Journal - November 2008 page 30" href="http://viewer.zmags.com/publication/9c45c03d?page=30">in his term, particularly with respect to eco-no</a> in his term, particularly with respect to eco-no<a title="The CPA Journal - November 2008 page 31" href="http://viewer.zmags.com/publication/9c45c03d?page=31">A CCOUNTING & AUDITINGfinancial accounting</a> A CCOUNTING & AUDITINGfinancial accounting<a title="The CPA Journal - November 2008 page 32" href="http://viewer.zmags.com/publication/9c45c03d?page=32">is not in the actual asset or liability under-ly</a> is not in the actual asset or liability under-ly<a title="The CPA Journal - November 2008 page 33" href="http://viewer.zmags.com/publication/9c45c03d?page=33">flows of an existing asset or liability (e.g.,fu</a> flows of an existing asset or liability (e.g.,fu<a title="The CPA Journal - November 2008 page 34" href="http://viewer.zmags.com/publication/9c45c03d?page=34">lack of confidence in Bear Stearns' abili-ty to </a> lack of confidence in Bear Stearns' abili-ty to <a title="The CPA Journal - November 2008 page 35" href="http://viewer.zmags.com/publication/9c45c03d?page=35">EXHIBIT 3Tabular Disclosure of (a) Fair Values o</a> EXHIBIT 3Tabular Disclosure of (a) Fair Values o<a title="The CPA Journal - November 2008 page 36" href="http://viewer.zmags.com/publication/9c45c03d?page=36">history was offered by the administrationonly af</a> history was offered by the administrationonly af<a title="The CPA Journal - November 2008 page 37" href="http://viewer.zmags.com/publication/9c45c03d?page=37">EXHIBIT 4The Effect of Derivative Instruments on</a> EXHIBIT 4The Effect of Derivative Instruments on<a title="The CPA Journal - November 2008 page 38" href="http://viewer.zmags.com/publication/9c45c03d?page=38">allow companies flexibility in decidinghow to be</a> allow companies flexibility in decidinghow to be<a title="The CPA Journal - November 2008 page 39" href="http://viewer.zmags.com/publication/9c45c03d?page=39">presented in a tabular or nontabular format. </a> presented in a tabular or nontabular format. <a title="The CPA Journal - November 2008 page 40" href="http://viewer.zmags.com/publication/9c45c03d?page=40"></a> <a title="The CPA Journal - November 2008 page 41" href="http://viewer.zmags.com/publication/9c45c03d?page=41">A CCOUNTING & AUDITINGauditingHow Do </a> A CCOUNTING & AUDITINGauditingHow Do <a title="The CPA Journal - November 2008 page 42" href="http://viewer.zmags.com/publication/9c45c03d?page=42">Financial Auditors Overconfident in TheirAbility</a> Financial Auditors Overconfident in TheirAbility<a title="The CPA Journal - November 2008 page 43" href="http://viewer.zmags.com/publication/9c45c03d?page=43"> EXHIBIT 2Graphical </a> EXHIBIT 2Graphical <a title="The CPA Journal - November 2008 page 44" href="http://viewer.zmags.com/publication/9c45c03d?page=44">(very low) to 100 (very high). Exhibit 2,Panel A</a> (very low) to 100 (very high). Exhibit 2,Panel A<a title="The CPA Journal - November 2008 page 45" href="http://viewer.zmags.com/publication/9c45c03d?page=45">T AXATIONstate & local taxationTax Cont</a> T AXATIONstate & local taxationTax Cont<a title="The CPA Journal - November 2008 page 46" href="http://viewer.zmags.com/publication/9c45c03d?page=46">order to preserve the taxpayer's right to pre-se</a> order to preserve the taxpayer's right to pre-se<a title="The CPA Journal - November 2008 page 47" href="http://viewer.zmags.com/publication/9c45c03d?page=47">basis set forth in the consent. Great caremust b</a> basis set forth in the consent. Great caremust b<a title="The CPA Journal - November 2008 page 48" href="http://viewer.zmags.com/publication/9c45c03d?page=48">penalties and interest) or $40,000 forsales and </a> penalties and interest) or $40,000 forsales and <a title="The CPA Journal - November 2008 page 49" href="http://viewer.zmags.com/publication/9c45c03d?page=49">F INANCEpersonal financial planningThe </a> F INANCEpersonal financial planningThe <a title="The CPA Journal - November 2008 page 50" href="http://viewer.zmags.com/publication/9c45c03d?page=50">passive strategies offer fiduciaries excel-lent </a> passive strategies offer fiduciaries excel-lent <a title="The CPA Journal - November 2008 page 51" href="http://viewer.zmags.com/publication/9c45c03d?page=51">M ANAGEMENTpractice management</a> M ANAGEMENTpractice management<a title="The CPA Journal - November 2008 page 52" href="http://viewer.zmags.com/publication/9c45c03d?page=52">Uniform CPA Examination addressIFRS. As the p</a> Uniform CPA Examination addressIFRS. As the p<a title="The CPA Journal - November 2008 page 53" href="http://viewer.zmags.com/publication/9c45c03d?page=53">ness grows. This has implications beyondthe Big </a> ness grows. This has implications beyondthe Big <a title="The CPA Journal - November 2008 page 54" href="http://viewer.zmags.com/publication/9c45c03d?page=54"> In addition, Article V—Due Care,paragraph .02</a> In addition, Article V—Due Care,paragraph .02<a title="The CPA Journal - November 2008 page 55" href="http://viewer.zmags.com/publication/9c45c03d?page=55">the acquisition. If the advisor or acquirer isno</a> the acquisition. If the advisor or acquirer isno<a title="The CPA Journal - November 2008 page 56" href="http://viewer.zmags.com/publication/9c45c03d?page=56">grate IFRS into their training materials,publica</a> grate IFRS into their training materials,publica<a title="The CPA Journal - November 2008 page 57" href="http://viewer.zmags.com/publication/9c45c03d?page=57">R ESPONSIBILITIES & LEADERSHIPethics</a> R ESPONSIBILITIES & LEADERSHIPethics<a title="The CPA Journal - November 2008 page 58" href="http://viewer.zmags.com/publication/9c45c03d?page=58">often creates worse problems than the actsthey a</a> often creates worse problems than the actsthey a<a title="The CPA Journal - November 2008 page 59" href="http://viewer.zmags.com/publication/9c45c03d?page=59">their own in conducting investigations.They shou</a> their own in conducting investigations.They shou<a title="The CPA Journal - November 2008 page 60" href="http://viewer.zmags.com/publication/9c45c03d?page=60">TAX & ACCOUNTING</a> TAX & ACCOUNTING<a title="The CPA Journal - November 2008 page 61" href="http://viewer.zmags.com/publication/9c45c03d?page=61">R ESPONSIBILITIES & LEADERSHIPethicsM</a> R ESPONSIBILITIES & LEADERSHIPethicsM<a title="The CPA Journal - November 2008 page 62" href="http://viewer.zmags.com/publication/9c45c03d?page=62">nificance. The differences that werefound to be </a> nificance. The differences that werefound to be <a title="The CPA Journal - November 2008 page 63" href="http://viewer.zmags.com/publication/9c45c03d?page=63"> The P-score is expected to have a nega- ge</a> The P-score is expected to have a nega- ge<a title="The CPA Journal - November 2008 page 64" href="http://viewer.zmags.com/publication/9c45c03d?page=64">of these future accounting professionals. Atthe </a> of these future accounting professionals. Atthe <a title="The CPA Journal - November 2008 page 65" href="http://viewer.zmags.com/publication/9c45c03d?page=65">T ECHNOLOGYe-commerceDetermining the Tax </a> T ECHNOLOGYe-commerceDetermining the Tax <a title="The CPA Journal - November 2008 page 66" href="http://viewer.zmags.com/publication/9c45c03d?page=66">tute property.” Court decisions express a sim-il</a> tute property.” Court decisions express a sim-il<a title="The CPA Journal - November 2008 page 67" href="http://viewer.zmags.com/publication/9c45c03d?page=67">Consequently, income derived from its salewould </a> Consequently, income derived from its salewould <a title="The CPA Journal - November 2008 page 68" href="http://viewer.zmags.com/publication/9c45c03d?page=68">the lottery, the assignment of the lotteryright </a> the lottery, the assignment of the lotteryright <a title="The CPA Journal - November 2008 page 69" href="http://viewer.zmags.com/publication/9c45c03d?page=69">T ECHNOLOGYthe cpa & the computerClie</a> T ECHNOLOGYthe cpa & the computerClie<a title="The CPA Journal - November 2008 page 70" href="http://viewer.zmags.com/publication/9c45c03d?page=70">Bresler & Schulman Asset ManagementCorp., 274 F.</a> Bresler & Schulman Asset ManagementCorp., 274 F.<a title="The CPA Journal - November 2008 page 71" href="http://viewer.zmags.com/publication/9c45c03d?page=71">at least physically separate sensitive infor-mat</a> at least physically separate sensitive infor-mat<a title="The CPA Journal - November 2008 page 72" href="http://viewer.zmags.com/publication/9c45c03d?page=72">tions provide for public key infrastructure(PKI)</a> tions provide for public key infrastructure(PKI)<a title="The CPA Journal - November 2008 page 73" href="http://viewer.zmags.com/publication/9c45c03d?page=73"> The New York Times reported that “agrowing nu</a> The New York Times reported that “agrowing nu<a title="The CPA Journal - November 2008 page 74" href="http://viewer.zmags.com/publication/9c45c03d?page=74">Compliance & Regulatory Newsletter,March 2004). </a> Compliance & Regulatory Newsletter,March 2004). <a title="The CPA Journal - November 2008 page 75" href="http://viewer.zmags.com/publication/9c45c03d?page=75">T ECHNOLOGYwhat to bookmarkWebsite of t</a> T ECHNOLOGYwhat to bookmarkWebsite of t<a title="The CPA Journal - November 2008 page 76" href="http://viewer.zmags.com/publication/9c45c03d?page=76">Potential Employees The “careers” section of RS</a> Potential Employees The “careers” section of RS<a title="The CPA Journal - November 2008 page 77" href="http://viewer.zmags.com/publication/9c45c03d?page=77">Classified PROFESSIONAL OPPORTUNITY l BUSINESS l</a> Classified PROFESSIONAL OPPORTUNITY l BUSINESS l<a title="The CPA Journal - November 2008 page 78" href="http://viewer.zmags.com/publication/9c45c03d?page=78"> CPA PRACTICESSales  Mergers  Va</a> CPA PRACTICESSales  Mergers  Va<a title="The CPA Journal - November 2008 page 79" href="http://viewer.zmags.com/publication/9c45c03d?page=79">LEGAL SERVICES PROFESSIONAL CONDUCT EXPERT</a> LEGAL SERVICES PROFESSIONAL CONDUCT EXPERT<a title="The CPA Journal - November 2008 page 80" href="http://viewer.zmags.com/publication/9c45c03d?page=80">FREE 46 Profitable Marketing Ideas! Buildyour p</a> FREE 46 Profitable Marketing Ideas! Buildyour p<a title="The CPA Journal - November 2008 page 81" href="http://viewer.zmags.com/publication/9c45c03d?page=81"> </a> <a title="The CPA Journal - November 2008 page 82" href="http://viewer.zmags.com/publication/9c45c03d?page=82">E CONOMIC & MARKET D ATAmonthly update</a> E CONOMIC & MARKET D ATAmonthly update<a title="The CPA Journal - November 2008 page 83" href="http://viewer.zmags.com/publication/9c45c03d?page=83">E DITORIALa message from the editor-in-chie</a> E DITORIALa message from the editor-in-chie<a title="The CPA Journal - November 2008 page 84" href="http://viewer.zmags.com/publication/9c45c03d?page=84">Your Business Challenge:Improve Firm Management</a> Your Business Challenge:Improve Firm Management